$301,364
released mid-build, in 48 hours
A lender's default answer was no. An evidence-based escalation released $301,364 of locked construction allowance mid-build, redeployed into the next acquisition.
A three-townhouse development in Newport, funded by a La Trobe Financial construction facility with a limit of $3,384,000, sitting behind a $2.18M site acquisition originally settled in October 2024 with a Portica second mortgage. The build carried a $1.8M (ex GST) construction budget, including a $436,363 allowance for cost-to-complete — a buffer the lender had built in because the building contract and the QS-assessed construction costs did not match.
With the project tracking well and approved variations of $135,000 already absorbed, $301,363.64 of that allowance was still locked up in the facility — capital the borrower needed to move on pending site acquisitions. The lender's default position was blunt: "Typically we wouldn't entertain accessing check costs until the build is complete."
Rather than accept the policy answer, we built an evidence-based release case and escalated it through the right people in the right order — relationship manager, then progress payments manager, then the executive approval channel. The submission set out the latest QS report assessing cost-to-complete at $418,298, a QS-forecast completion date roughly two months out, a current loan balance of $2,285,304 against a $3,384,000 limit leaving about $1.09M undrawn, forecast interest under $18,600 a month, and $90,000 of contingency still untouched. In short: the lender's risk was fully covered whether or not the money was released.
Approved for the full amount within 48 hours of escalation. The lender's progress payments manager attached his personal support to the request, citing "your good conduct on all your developments." The $301,363.64 was released mid-build and redeployed into the next acquisition, and the project completed on the QS-forecast timeline.
Most brokers stop at the first no. Knowing how a lender's credit and progress-payment functions actually work — and packaging a request in the language their credit team needs — turns a policy refusal into a same-week approval.
This case study is a representative example. Full details and figures are available on request — get in touch to discuss a comparable structure for your project.